A Study on Performance Evaluation of Mutual Funds Based on Investors preference

Financial markets are offering more promising solutions & becoming more exhaustive with financial products requiring new innovations. As a part of financial markets mutual funds industry is responding very fast by understanding the dynamics of investor’s perception towards rewards, they are continuously trying to differentiate their products and this is also visible in designing mutual funds portfolio but these changes should met the investor’s expectations. With the decline in the bank interest rates, frequent fluctuations in the secondary market and the inherent attitude of Indian small investors to avoid risk, it is important on the part of fund managers and mutual fund product designers to combine various elements of liquidity, return and security in making mutual fund products the best possible alternative for the small investors in Indian market. Thus, it is high time to understand the key factors that rules the investor’s mind, their expectations, and unveil some extremely valuable information to support financial decision making of mutual funds.The present study aims to analyse the factors which play a key role in investors mind while taking investment decision. as well as to measure the performance of selected mutual fund based on investors preference.